When the Weber Law was approved in 2012 at a constitutional level and the respective application law implemented three years later, it fundamentally changed the Swiss the holiday home market. By restricting the construction of new second homes in municipalities where they already exceeded 20%, the law hit regions like Saanenland particularly hard. At the time, local brokers Cyrille de Kostine and Louis Martin voiced their concerns about its impact. More than ten years on, they shared how the market has shifted, what they predicted correctly, and where unexpected consequences have emerged.

Can you give us an overview of the current real estate market?
Cyrille de Kostine (C.K.): It’s important to point out that we don’t have access to official figures from the land registries, as the municipalities of Rougemont and Saanen do not produce them. As real estate agents, we know the market only through the properties we handle. We can’t claim a complete picture, but we do see that e.g. Château-d’Oex and the Saanenland are very different markets.

Louis Martin (L.M.): Exactly. There are more properties for sale in Châteaud’Oex and Rossinière, while demand is higher in Rougemont and Saanenland, where supply is far more limited. Château-d’Oex has a larger supply of properties for sale, with a slight room for negotiation. In Rougemont and Saanenland, sellers generally hold the stronger position.

C.K.: To sum up: Rougemont, and certainly Gstaad, is a market of its own. It’s difficult to put a standard price on a property there.

Ten years ago, you both commented on the second-home initiative. Is today’s demand in Gstaad and Rougemont linked to that, or was the market already similar back then?
C.K.: Real estate is cyclical, like many other sectors. It has been influenced by crises such as the 2008 crash and, more recently, the COVID-19 pandemic. In our region, we really see two markets: one for those settling here permanently, often for tax reasons, and one for pure second-home buyers. By 2018–2019, the second-home market was slow; people simply were less interested.
L.M.: Yes, 2019 was extremely quiet for second homes. Only a few primary residences changed hands. Then COVID reignited the desire for mountain properties, places to retreat to and spend time with family, reconnect with nature. It was the perfect moment for real estate here.
C.K.: And because the Weber Law was anticipated, many developers had launched projects before it took effect. That meant plenty of inventory was still available, just as demand began rising again. From 2020 through 2023, the market was very active. Some clients even bought mountain apartments without visiting in person.
 

Did the Weber Law increase prices for primary residences?
C.K.: The cost of building a primary residence is pretty much the same as for a second home. But between 2012 and 2015, the years of uncertainty before the law came into effect, the market slowed down. At the time, people believed primary residences sold for 30–45% less than second homes. That assumption has largely disappeared over time.
L.M.: The constraints around primary residences remain, but prices have edged closer. Today, some primary residences sell for only about 15% less than comparable second homes, despite the heavy restrictions that apply.

And what does this mean for the local population– for families hoping to buy a primary residence?
L.M.: The Weber Law aimed to curb second homes and prevent overdevelopment by banning new ones in municipalities where they already exceeded 20%. What wasn’t foreseen is that the demand for second homes would not diminish – in fact, it grew. With no new stock allowed, buyers turned to older chalets built before the law, which can still serve as either primary or secondary residences.

This has created price pressure. Small chalets that locals once could afford to renovate are now being bought as second homes. Locals are being priced out.
C.K.: I believe the law was poorly suited to our region. It may have worked in the Grisons, but in Saanenland, it missed its mark. Its goal of preserving local ownership hasn’t been achieved, neither financially nor from a regulatory perspective.

Ten years ago, you were worried for construction companies. What’s the situation now? L.M.:Today, construction is strong. Demand for renovation is high, and order books are full.

C.K.:That wasn’t the case between 2013 and 2015, when layoffs occurred. But because many firms here are comparatively small, with only three to ten employees, they were able to adapt more quickly. Still, the economic impact at the time was real.

How has your profession evolved with these changes?
C.K.: Real estate brokerage in Switzerland is a completely liberal profession, no official certification is required. But our region is especially complex in terms of regulations.

We deal with agricultural zones, rural land laws, zoning restrictions, foreign-buyer rules (LFAIE), and the Weber Law. It’s a more intricate environment than in cities.

Has the clientele changed over the past decade?
C.K.: To some extent. Large properties, unless subdivided, are usually bought by Swiss residents. Around half of my clients reside in Switzerland, the rest are mostly European, few (less than 10 %) are from “the rest of the world”.
L.M.: “For me, about two-thirds of clients are Swiss residents. But in Château-d’Oex, we’ve lost much of the British clientele. A partner in the UK told us his clients are now choosing Savoie or less expensive parts of Switzerland. That “middle market” of buyers, those looking between CHF 600,000 and 2 million, has disappeared here. I still work with clients from France, Belgium, the Netherlands, and occasionally Italy.”

The Weber Law has reshaped the market in ways that were not always anticipated – driving up prices and limiting new supply. Yet it has also reinforced the region’s uniqueness: a tightly held market where properties retain value and where demand continues to affirm the appeal of living in the Alps. Ten years on, Saanenland remains resilient, with a dynamic real estate sector that adapts to change while continuing to attract both Swiss and international buyers.

MARY MEYER